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Unethical Practices Of Global
Companies
Neenu Pappachan
What is ethical and unethical?
Ethical can be defined as being morally correct or principled. Ethical
behavior tends to be good for business and involves demonstrating
respect for key moral principles that include honesty, fairness,
equality, dignity, diversity and individual rights.
Unethical behavior is an action that falls outside of what is
considered morally right or proper for a person, a profession or an
industry. There are many ways that businesses engage in unethical
conduct, exploiting their workers, their customers, and even the
public at large.
Unethical behavior in business
 Exploiting Workers
 Tax loopholes
 Over-billing the customers
 Dumping Toxins
 Covering Up Car Defects
 Unnecessary Medical Procedures
Effects of poor ethics in business
 Productivity Levels Decrease
 Loss Of Public Credibility
 Loss Of Respect
 Legal Issues
 Public Danger and Loss of Goodwill
Unethical Companies
Apple
Apple
Apple Inc. is an American multinational technology company that
designs, develops, and sells consumer electronics, computer software, and
online services. The company's hardware products include,
• iPhone smartphone
• iPad tablet computer
• Mac personal computer
• iPod portable media player
• Apple Watch smart watch
• Apple TV digital media player
• Home Pod smart speaker.
Apple – Child Labour
Everyone wants an iPhone and no one
really cares if it were made by tiny child
slaves who are forced to work in
dangerous conditions, inhaling cancerous
vapors, for 10 hours a day, seven days a
week. And that is why Apple continues
to be so profitable.
Apple - Working conditions
Conditions at this plant are so
miserable that “anti-suicide nets”
had to be installed beneath the
windows after a whopping 17
employees leapt to their deaths in
protests of the horrific things they
had to endure on a daily basis.
Apple manufacturer Foxconn is like hell on earth.
Nestle
Nestlé S.A. is a Swiss transnational food and drink company headquartered
in Switzerland.
• Largest food company in the world, measured by revenues
and other metrics, since 2014.
• Ranked No. 72 on the Fortune Global 500 in 2014
• Ranked No. 33 of the Forbes Global 2000 list of largest public
companies in 2016 edition.
• Nestlé's products include baby food, medical food, bottled
water, breakfast cereals, coffee and tea, confectionery, dairy
products, ice cream, frozen food, pet foods, and snacks.
Nestle – Infant Formula
Nestle aggressively pushed their
breastfeeding formula in less economically
developed countries, specifically targeting
the poor.
According to the International Baby Food
Action Network (IBFAN), Nestle used
unethical methods to promote their infant
formula to poor mothers in developing
countries.
Nestle – Infant Formula
• Nestle is still one of the most boycotted
corporations in the world, and its infant
formula is still controversial.
• In Italy in 2005, police grabbed more than
two million liters of Nestle infant formula that
was contaminated with the chemical
isopropylthioxanthone (ITX).
Nestle – Child Labour
• Ivory coast is the worlds largest producers of coca.
• Nestle, the third largest buyer of cocoa from the Ivory Coast.
• US State Department estimates had approximately 109,000 child
laborers working in hazardous conditions on cocoa farms.
Nestle – Water Issue
• The company has been sourcing its
water from the San Bernardino
National Forest without a permit.
• California doesn’t know how much water
Nestle uses, because they have no legal
grounds.
• An independent analysis puts all their
water usage at 1 billion gallons a year.
Nestle is actually the world’s largest producer of bottled water.
Toyota
Toyota Motor Corporation is a Japanese multinational automotive
manufacturer headquartered in Toyota, Japan.
• Toyota's corporate structure
consisted of 364,445 employees
worldwide (2017).
• The fifth-largest company in the
world by revenue (2016).
• Toyota is the world's market
leader in sales of hybrid electric
vehicles.
Toyota – Safety Issue
One of the most important aspects of any car company is safety.
The concern for safety,
• How both employees and consumers are kept safe,
• How issues are handled should a safety concern arise.
Toyota made a huge and unethical
failure in 2010 when they basically
betrayed their promise as a company
by ignoring safety concerns and
delaying recall investigations just so
they could save a little money.
Walmart
• Chain of hypermarkets, discount
department stores, and grocery
stores.
• Walmart is the world's largest
company by revenue
approximately US$480 billion.
• Largest private employer in the
world with 2.3 million
employees.
Wal-Mart Stores, Inc. doing business as Walmart, is an
American multinational retail corporation.
Walmart – Labour Issue
• Wal-Mart maintains its low
price level by allowing
substandard labor conditions.
• The company continually
demands lower prices from its
suppliers, who, in turn, make
more outrageous and abusive
demands on their workers in
order to meet Wal-Mart's
requirements.
Walmart
• Workers were denied minimum
wages, forced to work overtime
without compensation, and were
denied legally mandated health care.
• Other worker rights violations that
have been found in foreign factories
that produce goods for Wal-Mart
include locked bathrooms, starvation
wages, pregnancy tests, denial of
access to health care.
• Workers being fired and blacklisted
if they try to defend their rights.
KFC
KFC
KFC, until 1991 known as Kentucky Fried Chicken, is an American fast
food restaurant chain that specializes in fried chicken.
It is the world's second-largest restaurant chain (as measured by sales)
after McDonald's, with almost 20,000 locations globally in 123 countries
and territories.
KFC - Cruelty
• Overcrowded sheds where chickens hardly find space
to move freely.
• To save space and avoid chicken hurting each other, the
sensitive chicken beaks are cut off with hot blade
without giving any painkillers.
• The injured chickens received no treatment and had to
bear the pain throughout their life.
• Birds are fed genetically modified feed in order to
accelerate their growth rate.
• As a result they suffer from disorders such as extreme
obesity and fatty livers and kidneys, heart attacks and
other problems.
KFC
• Due to poor wages and working
conditions, employees used the chickens
as a means to vent frustrations and
alleviate boredom.
• They twisted the bird’s heads off, spat
tobacco into their eyes and mouths,
spray-painted their faces, used them as
footballs and squeezed their bodies so
hard that the birds expelled faces.
Nike
Nike Is an American multinational corporation
that is engaged in the design, development and
worldwide marketing and selling of footwear,
apparel, equipment, accessories and services. It is
the world’s leading supplier of athletic shoes
and apparel and a major manufacturer of sports
equipment
Nike – Employee Abuse
• Employees were forced to work over
sixty hours each week.
• They were punished if they refused to
work overtime.
• Women are much underpaid, hardly
enough to cover their basic living.
• Workers have claimed to be both
verbally and physically abused by their
employers.
Nike became defined by the term ‘sweatshop labour’.
Nike – Child Labour
When a person states that he/she is
working for Nike, it gives a very good
status symbol. But what if the person
is a 9 - year old child? What image
will it give you as a consumer when
you buy those products or brands that
employ child labor?
These are only few examples of unethical practices by
some global companies. Everyone needs profit so they
sacrifices ethics and harm people and environment. Like
wise many examples are there but we are not aware of
that. We just know only the status and fame of the
brands. Behind all these there are some realities like this.
Conclusion
Thank you

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Unethical practices by global companies

  • 1. Unethical Practices Of Global Companies Neenu Pappachan
  • 2. What is ethical and unethical? Ethical can be defined as being morally correct or principled. Ethical behavior tends to be good for business and involves demonstrating respect for key moral principles that include honesty, fairness, equality, dignity, diversity and individual rights. Unethical behavior is an action that falls outside of what is considered morally right or proper for a person, a profession or an industry. There are many ways that businesses engage in unethical conduct, exploiting their workers, their customers, and even the public at large.
  • 3. Unethical behavior in business  Exploiting Workers  Tax loopholes  Over-billing the customers  Dumping Toxins  Covering Up Car Defects  Unnecessary Medical Procedures
  • 4. Effects of poor ethics in business  Productivity Levels Decrease  Loss Of Public Credibility  Loss Of Respect  Legal Issues  Public Danger and Loss of Goodwill
  • 7. Apple Apple Inc. is an American multinational technology company that designs, develops, and sells consumer electronics, computer software, and online services. The company's hardware products include, • iPhone smartphone • iPad tablet computer • Mac personal computer • iPod portable media player • Apple Watch smart watch • Apple TV digital media player • Home Pod smart speaker.
  • 8. Apple – Child Labour Everyone wants an iPhone and no one really cares if it were made by tiny child slaves who are forced to work in dangerous conditions, inhaling cancerous vapors, for 10 hours a day, seven days a week. And that is why Apple continues to be so profitable.
  • 9. Apple - Working conditions Conditions at this plant are so miserable that “anti-suicide nets” had to be installed beneath the windows after a whopping 17 employees leapt to their deaths in protests of the horrific things they had to endure on a daily basis. Apple manufacturer Foxconn is like hell on earth.
  • 10.
  • 11. Nestle Nestlé S.A. is a Swiss transnational food and drink company headquartered in Switzerland. • Largest food company in the world, measured by revenues and other metrics, since 2014. • Ranked No. 72 on the Fortune Global 500 in 2014 • Ranked No. 33 of the Forbes Global 2000 list of largest public companies in 2016 edition. • Nestlé's products include baby food, medical food, bottled water, breakfast cereals, coffee and tea, confectionery, dairy products, ice cream, frozen food, pet foods, and snacks.
  • 12. Nestle – Infant Formula Nestle aggressively pushed their breastfeeding formula in less economically developed countries, specifically targeting the poor. According to the International Baby Food Action Network (IBFAN), Nestle used unethical methods to promote their infant formula to poor mothers in developing countries.
  • 13. Nestle – Infant Formula • Nestle is still one of the most boycotted corporations in the world, and its infant formula is still controversial. • In Italy in 2005, police grabbed more than two million liters of Nestle infant formula that was contaminated with the chemical isopropylthioxanthone (ITX).
  • 14. Nestle – Child Labour • Ivory coast is the worlds largest producers of coca. • Nestle, the third largest buyer of cocoa from the Ivory Coast. • US State Department estimates had approximately 109,000 child laborers working in hazardous conditions on cocoa farms.
  • 15. Nestle – Water Issue • The company has been sourcing its water from the San Bernardino National Forest without a permit. • California doesn’t know how much water Nestle uses, because they have no legal grounds. • An independent analysis puts all their water usage at 1 billion gallons a year. Nestle is actually the world’s largest producer of bottled water.
  • 16.
  • 17. Toyota Toyota Motor Corporation is a Japanese multinational automotive manufacturer headquartered in Toyota, Japan. • Toyota's corporate structure consisted of 364,445 employees worldwide (2017). • The fifth-largest company in the world by revenue (2016). • Toyota is the world's market leader in sales of hybrid electric vehicles.
  • 18. Toyota – Safety Issue One of the most important aspects of any car company is safety. The concern for safety, • How both employees and consumers are kept safe, • How issues are handled should a safety concern arise. Toyota made a huge and unethical failure in 2010 when they basically betrayed their promise as a company by ignoring safety concerns and delaying recall investigations just so they could save a little money.
  • 19.
  • 20. Walmart • Chain of hypermarkets, discount department stores, and grocery stores. • Walmart is the world's largest company by revenue approximately US$480 billion. • Largest private employer in the world with 2.3 million employees. Wal-Mart Stores, Inc. doing business as Walmart, is an American multinational retail corporation.
  • 21. Walmart – Labour Issue • Wal-Mart maintains its low price level by allowing substandard labor conditions. • The company continually demands lower prices from its suppliers, who, in turn, make more outrageous and abusive demands on their workers in order to meet Wal-Mart's requirements.
  • 22. Walmart • Workers were denied minimum wages, forced to work overtime without compensation, and were denied legally mandated health care. • Other worker rights violations that have been found in foreign factories that produce goods for Wal-Mart include locked bathrooms, starvation wages, pregnancy tests, denial of access to health care. • Workers being fired and blacklisted if they try to defend their rights.
  • 23. KFC
  • 24. KFC KFC, until 1991 known as Kentucky Fried Chicken, is an American fast food restaurant chain that specializes in fried chicken. It is the world's second-largest restaurant chain (as measured by sales) after McDonald's, with almost 20,000 locations globally in 123 countries and territories.
  • 25. KFC - Cruelty • Overcrowded sheds where chickens hardly find space to move freely. • To save space and avoid chicken hurting each other, the sensitive chicken beaks are cut off with hot blade without giving any painkillers. • The injured chickens received no treatment and had to bear the pain throughout their life. • Birds are fed genetically modified feed in order to accelerate their growth rate. • As a result they suffer from disorders such as extreme obesity and fatty livers and kidneys, heart attacks and other problems.
  • 26. KFC • Due to poor wages and working conditions, employees used the chickens as a means to vent frustrations and alleviate boredom. • They twisted the bird’s heads off, spat tobacco into their eyes and mouths, spray-painted their faces, used them as footballs and squeezed their bodies so hard that the birds expelled faces.
  • 27.
  • 28. Nike Nike Is an American multinational corporation that is engaged in the design, development and worldwide marketing and selling of footwear, apparel, equipment, accessories and services. It is the world’s leading supplier of athletic shoes and apparel and a major manufacturer of sports equipment
  • 29. Nike – Employee Abuse • Employees were forced to work over sixty hours each week. • They were punished if they refused to work overtime. • Women are much underpaid, hardly enough to cover their basic living. • Workers have claimed to be both verbally and physically abused by their employers. Nike became defined by the term ‘sweatshop labour’.
  • 30. Nike – Child Labour When a person states that he/she is working for Nike, it gives a very good status symbol. But what if the person is a 9 - year old child? What image will it give you as a consumer when you buy those products or brands that employ child labor?
  • 31. These are only few examples of unethical practices by some global companies. Everyone needs profit so they sacrifices ethics and harm people and environment. Like wise many examples are there but we are not aware of that. We just know only the status and fame of the brands. Behind all these there are some realities like this. Conclusion